After the Bitcoin boom at the end of 2017, the new year starts with more milestones in the world of cryptocurrency. But what do experts predict about the future of cryptocurrencies in 2018? Is it a bubble about to explode or will it continue to gain strength?
December was a frantic month for Bitcoin: cryptocurrency reached a record high of $ 19,796, then dropped to $ 11,590.
Of course, experts indicate that the constant ups and downs of the Bitcoin will continue to keep its investors in wake throughout 2018, and this is only one of the 5 predictions about the future of cryptocurrencies in 2018.
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Let's see the 5 predictions about the future of Bitcoin in 2018 revealed by CNBC:
More institutions will invest in cryptocurrencies: According to Michael Graham, analyst expert in cryptocurrency, 2018 will be the year in which institutions join the trend of cryptocurrencies. Analysts such as Nolan Bauerle, from Coindesk, also pointed out that, given the numerous EFT proposals, at the end of the year a Bitcoin listed investment fund will be approved, exposing the institutions to digital currencies more.
More regulation will lead to a fall in the value of Bitcoin: For governments, it becomes increasingly necessary to regulate cryptocurrency in an attempt to limit speculation, which will cause a drop in the value of Bitcoin. The rise of cryptocurrencies has caused that the total value of digital currencies in the market currently stands at 770 billion dollars. Every time a regulator puts his hand, the value tends to plummet - as we saw with China when suspending operations with Bitcoin.
The ups and downs will be constant: Air Paul, CIO of BlockTower Capital, predicts that the value of Bitcoin will vary between $ 4,000 and $ 30,000 over 2018. The possibility of applying a hardfork - catch the original code and develop implementations giving rise to a new chain - for Bitcoin it was already last year, and it seems that it will be even more frequent in 2018 altering the price of Bitcoin substantially.
Bitcoin will prevail while the rest of the cryptocurrency will grow: Around half of digital currency transactions are made with alternatives to Bitcoin, which no longer dominates the market as before. However, the growing popularity of alternative currencies benefits Bitcoin, which will continue to lead: it is the most well-known digital currency and is usually the gateway for new investors.
Opportunity to invest in IPOs of cryptocurrency companies: Companies related to cryptocurrencies are worth millions, and for now Coinbase, valued at 1.6 billion dollars, has hinted that they could make an IPO (public offer of sale). Experts trust that companies related to the world of cryptocurrencies and, moreover, the blockchain, will begin to launch public offers to win the approval of regulators by following the most traditional method. Of course, analysts say that the first IPO will not take place in the US.
If you want to know more about the subject I invite you to visit the Blog of each of the experts mentioned in the article and inquire more about this trend. Thank you